Part of this has been a long-standing move by every industry to prioritize business-to-business sales as opposed to consumer sales simply because businesses have money and consumers don’t, because businesses are pocketing all the profits and refusing to pay their employees (consumers) a living wage, let alone a thriving wage.
It’s been a long time coming for the PC industry, because it’s been a general trend for at least two decades as sales to business have become more profitable over consumer sales ever since the late 90s.
It’s just more evidence that the bottom 90% of earners are just being priced out of anything but bare subsistence and the wealthy do not give a single fuck about it, in fact, they’re embracing it.
I am so glad to see someone else talking about this. Yeah, We’re going back to feudalism… And only the upper ranks of society will be able to afford goods and be able to engage in trade.
I mean, it’s very arguable that we’ve just been doing “feudalism with extra steps” for a very long time anyway.
To be less US/Europe-centric than my original post, the majority of the world has been in the “priced out of anything but bare subsistence” basket for most of the history of modern capitalism. Only the citizens of the Imperial Democracies of the Western world were benefiting while the majority of the Southern and Eastern hemispheres were simply locked out from being beneficiaries either through trade embargoes or outright exploitation via not paying foreign workers the home-country equivalent, and instead paying them a much lower “localized” rate.
It’s really that the Imperial Boomerang has finally made it’s way home to the citizens of the West.
Eat the rich!
Yet another lie of capitalism- that demand dictates supply. If people want something, capitalism will solve the problem because greed will solve every problem, right? WRONG. It doesn’t take into consideration that scale and logistics and infrastructure and mass production all collude and interact in ways that can and will easily create isolated and unexpected functional consequences just like this one.
Capitalism itself is such a dumb and evil creation that the only thing that keeps it running is to have laws that limit its destructive power- unfortunately, since money is power, capitalism quickly supersedes rule of law and democracy, creating a system of government where feudal lords rule over what basically amounts to serfdom. Surely a more comfortable serfdom than in the 1300’s, but most certainly lacking the basic freedoms of a democratic society, and only so long as the lords so wish and comfort isn’t taken away at their whims due to opposition or otherwise.
Fuck this shit.
The whole economy reminds me more and more of the decline of the Roman Empire. Their biggest problem was that there were no consumers left to keep money in circulation and the economy afloat. You either owned lots of land and slaves that provided pretty much everything you need or you were a slave, meaning the only one you could trade with were merchants from outside the empire but as the empire expanded, those became harder to reach. War expenses spiraled out of control while the economy declined until it ceased to exist.
Now mega corps only trade with each other and threaten to replace all workers with AI and robots. Meanwhile the economy becomes stale, people buy less while politicians around the globe cut down the social sector, meaning people will have even less money to spare. Money won‘t circulate as much, slowing things down even further.
There are ways out of this spiral of decline but billionaires won‘t give up so easily. You can say many things about them but they are persistent as hell.
You can say many things about them but they are persistent as hell.
That persistence is a type of sociopathy, though. It’s an antisocial personality disorder. Sure, they’re persistent, but they’re persistent at pursuing absolutely terrible things for personal gain that effectively means nothing considering they already have enough power and money to make Solomon blush. It’s a mental disorder where they need more and more and more while they have more than they could ever use in their entire lifetimes and in their grandchildren’s their grandchildren’s lifetimes.
So even that is honestly a negative thing, there’s literally not a positive thing you can say about them, because everything they do is couched in being the most selfish, proud (for no good reason), and narcissistic fuckers alive.
Oh I never ever intended to imply it‘s a good thing. It just is. They won‘t give in or can be reasoned with. They became billionaires because they care about money, status and power.
I’m looking forward to cheap Chinese video cards that out perform Nvidia shit for 1/4 the price.
I hope you’re right because Intel and AMD still can’t compete with high end Nvidia cards, and that’s how we ended up with a $5000 5090.
AMD can already beat nvidia at the price tiers most people actually buy at, and Intel is gaining ground way faster than anyone expected.
But outside of the GPU shakeup, I could give a shit about Intel. Let China kill us. We earned this.
We also partly ended up with the 5k 5090 because it’s just the TITAN RTX of the 50xx generation - the absolute top of the line a card where you pay 200% extra for that last +10% performance.
nVidia just realized few generations back that naming those cards the xx90 gets a bunch of more people to buy them, because they always desperately need to have the shiniest newest xx90 cards, no matter the cost.
Kind of makes sense really when you think about it. The vast majority of consumers have had all their wealth eroded over decades to the point no one can buy anything. Better to let the AIs buy everything now.
Imma remember what Curcial and others are doing, so when the AI bubble pops I’ll skip on all their products.
I see a future where all computing is done in the cloud and home computers are just dumb terminals. An incredibly depressing future. Customers not users is the goal.
ChromeOS was exactly mean for that
This has been predicted and worked towards since the 90s.
They can pry my hardware from my cold, dead hands.
Also my car with knobs. I will continue to maintain that car for as long as possible.
Cars without knobs shouldn’t be allowed. Knobs are awesome.
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For some workloads, yes. I don’t think that the personal computer is going to go away.
But it also makes a lot of economic and technical sense for some of those workloads.
Historically — like, think up to about the late 1970s — useful computing hardware was very expensive. And most people didn’t have a requirement to keep computing hardware constantly loaded. In that kind of environment, we built datacenters and it was typical to time-share them. You’d use something like a teletype or some other kind of thin client to access a “real” computer to do your work.
What happened at the end of the 1970s was that prices came down enough and there was enough capability to do useful work to start putting personal computers in front of everyone. You had enough useful capability to do real computing work locally. They were still quite expensive compared to the great majority of today’s personal computers:
https://en.wikipedia.org/wiki/Apple_II
The original retail price of the computer was US$1,298 (equivalent to $6,700 in 2024)[18][19] with 4 KB of RAM and US$2,638 (equivalent to $13,700 in 2024) with the maximum 48 KB of RAM.
But they were getting down to the point where they weren’t an unreasonable expense for people who had a use for them.
At the time, telecommunications infrastructure was much more limited than it was today, so using a “real” computer remotely from many locations was a pain, which also made the PC make sense.
From about the late 1970s to today, the workloads that have dominated most software packages have been more-or-less serial computation. While “big iron” computers could do faster serial compute than personal computers, it wasn’t radically faster. Video games with dedicated 3D hardware were a notable exception, but those were latency sensitive and bandwidth intensive, especially relative to the available telecommunication infrastructure, so time-sharing remote “big iron” hardware just didn’t make a lot of sense.
And while we could — and to some extent, did — ramp up serial computational capacity by using more power, there were limits on the returns we could get.
However, what AI stuff represents has notable differences in workload characteristics. AI requires parallel processing. AI uses expensive hardware. We can throw a lot of power at things to get meaningful, useful increases in compute capability.
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Just like in the 1970s, the hardware to do competitive AI stuff for many things that we want to do is expensive. Some of that is just short term, like the fact that we don’t have the memory manufacturing capacity in 2026 to meet need, so prices will rise to price out sufficient people that the available chips go to whoever the highest bidders are. That’ll resolve itself one way or another, like via buildout in memory capacity. But some of it is also that the quantities of memory are still pretty expensive. Even at pre-AI-boom prices, if you want the kind of memory that it’s useful to have available — hundreds of gigabytes — you’re going to be significantly increasing the price of a PC, and that’s before whatever the cost of the computation hardware is.
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Power. Currently, we can usefully scale out parallel compute by using a lot more power. Under current regulations, a laptop that can go on an airline in the US can have an 100 Wh battery and a 100 Wh spare, separate battery. If you pull 100W on a sustained basis, you blow through a battery like that in an hour. A desktop can go further, but is limited by heat and cooling and is going to start running into a limit for US household circuits at something like 1800 W, and is going to be emitting a very considerable amount of heat dumped into a house at that point. Current NVidia hardware pulls over 1kW. A phone can’t do anything like any of the above. The power and cooling demands range from totally unreasonable to at least somewhat problematic. So even if we work out the cost issues, I think that it’s very likely that the power and cooling issues will be a fundamental bound.
In those conditions, it makes sense for many users to stick the hardware in a datacenter with strong cooling capability and time-share it.
Now, I personally really favor having local compute capability. I have a dedicated computer, a Framework Desktop, to do AI compute, and also have a 24GB GPU that I bought in significant part to do that. I’m not at all opposed to doing local compute. But at current prices, unless that kind of hardware can provide a lot more benefit than it currently does to most, most people are probably not going to buy local hardware.
If your workload keeps hardware active 1% of the time — and maybe use as a chatbot might do that — then it is something like a hundred times cheaper in terms of the hardware cost to have the hardware timeshared. If the hardware is expensive — and current Nvidia hardware runs tens of thousands of dollars, too rich for most people’s taste unless they’re getting Real Work done with the stuff — it looks a lot more appealing to time-share it.
There are some workloads for which there might be constant load, like maybe constantly analyzing speech, doing speech recognition. For those, then yeah, local hardware might make sense. But…if weaker hardware can sufficiently solve that problem, then we’re still back to the “expensive hardware in the datacenter” thing.
Now, a lot of Nvidia’s costs are going to be fixed, not variable. And assuming that AMD and so forth catch up, in a competitive market, will come down — with scale, one can spread fixed costs out, and only the variable costs will place a floor on hardware costs. So I can maybe buy that, if we hit limits that mean that buying a ton of memory isn’t very interesting, price will come down. But I am not at all sure that the “more electrical power provides more capability” aspect will change. And as long as that holds, it’s likely going to make a lot of sense to use “big iron” hardware remotely.
What you might see is a computer on the order of, say, a 2022 computer on everyone’s desk…but that a lot of parallel compute workloads are farmed out to datacenters, which have computers more-capable of doing parallel compute there.
Cloud gaming is a thing. I’m not at all sure that there the cloud will dominate, even though it can leverage parallel compute. There, latency and bandwidth are real issues. You’d have to put enough datacenters close enough to people to make that viable and run enough fiber. And I’m not sure that we’ll ever reach the point where it makes sense to do remote compute for cloud gaming for everyone. Maybe.
But for AI-type parallel compute workloads, where the bandwidth and latency requirements are a lot less severe, and the useful returns from throwing a lot of electricity at the thing significant…then it might make a lot more sense.
I’d also point out that my guess is that AI probably will not be the only major parallel-compute application moving forward. Unless we can find some new properties in physics or something like that, we just aren’t advancing serial compute very rapidly any more; things have slowed down for over 20 years now. If you want more performance, as a software developer, there will be ever-greater relative returns from parallelizing problems and running them on parallel hardware.
I don’t think that, a few years down the road, building a computer comparable to the one you might in 2024 is going to cost more than it did in 2024. I think that people will have PCs.
But those PCs might running software that will be doing an increasing amount of parallel compute in the cloud, as the years go by.
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I’ve been looking into self-hosting LLMs, and it seems a $10k GPU is kind of a requirement to run a decently-sized model and get reasonable tokens / s rate. There’s CPU and SSD offloading, but I’d imagine it would be frustratingly slow to use. I even find cloud-based AI like GH Copilot to be rather annoyingly slow. Even so, GH Copilot is like $20 a month per user, and I’d be curious what the actual costs are per user considering the hardware and electricity cost.
What we have now is clearly an experimental first generation of the tech, but the industry is building out data centers as though it’s always going to require massive GPUs / NPUs with wicked quantities of VRAM to run these things. If it really will require huge data centers full of expensive hardware where each user prompt requires minutes of compute time on a $10k GPU, then it can’t possibly be profitable to charge a nominal monthly fee to use this tech, but maybe there are optimizations I’m unaware of.
Even so, if the tech does evolve and it become a lot cheaper to host these things, then will all these new data centers still be needed? On the other hand, if the hardware requirements don’t decrease by an order of magnitude, then will it be cost effective to offer LLMs as a service, in which case, I don’t imagine the new data centers will be needed either.
Ai failed and now they are doing this to capture the compute market to then make their profit back through unscrupulous means.
As I am told, there is no way these llm’s ever make their investments back. It’s like Tesla at this point. Whomever is paying the actual money to build this stuff is going to get hosed if they can’t offload it onto some other sucker. That ultimate sucker probably being the US taxpayer.
Honestly just jump in with whatever hardware you have available and a small 1.5b/7b model. You’ll figure out all the difficult uncertainties as you go and try to improve things.
I’m hosting a few lighter models that are somewhat useful and fun without even using a dedicated GPU- just a lot of ram and fast NVMe so the models don’t take forever to spin up.
Of course I’ve got an upgrade path in mind for the hardware and to add a GPU but there are other places I’d rather put the money atm and I do appreciate that it all currently runs on a 250w PSU.
Yeah no shit?
Consumer sales are very very trackable. Off channel bulk sales can be very hard to verify and I’m sure that’s not being used to prop up valuation. Not at all.
You can make a lot of money selling imaginary products to nonfunctional industries.
Probably because the hardware is going into systems that eliminate jobs and we become broke. All that gear is gonna sit on the shelf if we can’t afford it.
With the exception of a few tasks most modern hardware should last a while doing everyday tasks. If you’re due for an upgrade do it and then get off the consumerism train for a while. If you’ve got something within the past two or three years you’re set for a while.
I thought I needed to upgrade my core components but since I’m no longer detailed graphics chasing like I was it’s not as important. It’s still fairly old at this point but it’s doing me just fine.
Steal it from the assholes trying to charge you an arm and a leg.
Eh, maybe a chance for a architecturial redesign too, that caters more to desktop than to server. We could build computers that don’t need cycles while waiting for input, displays that don’t need fps for a still image. And that don’t need GHz while doing so, allowing for modular, easy to build designs












